Home » Finland » However, according to tradition, let's start with quite logical rental business ideas. For example

However, according to tradition, let's start with quite logical rental business ideas. For example

Scientists will someday seriously study women's wardrobe. It seems like the closet doesn’t close, and there’s nothing to wear to a friend’s party or wedding. But while conferences and laboratories are dedicated to this anomaly in the future, a new business has appeared on the girlish limitless “I want” - rental of things - dresses, suits, outfits for photo shoots.

In Russia it is still in its infancy and many rental companies themselves have little understanding of what they are doing and whether they are doing it correctly. We, out of duty and out of our hearts, work closely with big and small players who have managed to hit their stride. We carefully rewrote them, sorted them and today we are telling you so that you do not encounter obstacles on your way and definitely do not get into a puddle around the first turn.

No need for money - rent!

What items are in demand?

Depending on financial capabilities and ambitions, rentals can choose a narrow specialization or immediately purchase a complete wardrobe of things for all occasions. Both options have a right to exist and vary depending on your business strategy. Most often they offer rentals of things:

1. Evening and wedding dresses. From middle class to designer models costing hundreds of thousands of rubles.

2. Dresses for photo shoots. Not always high quality, but always beautiful things that look great in photographs. They can be made from cheap fabric and are often difficult to wear for more than a couple of hours. But this is not required.

But in fact it stings, pricks and causes itching in inappropriate places :)

3. Carnival costumes. A completely different line of work. The price of the suit is small, so here you can (and should) afford a huge assortment at once. Highly depends on the season and holidays.

4. But the problem is with shoes! The fact is that people are afraid to put on shoes in which someone else's feet have already sweated. The rental company needs to quickly and inexpensively disinfect shoes. Unfortunately, not every pair can last long with constant cleaning.

Part-time job or serious business?

The rental industry has experienced rapid growth. Over the past 2-3 years, the number of rental companies in Moscow has increased tenfold, and by the fall of 2016, there were already more than 200 such companies in the metropolitan area, not counting the many private mini-rentals. This fecundity of the market does not surprise us, because starting a clothing rental business is easy. Staying afloat is another matter. So it turns out that hundreds of newly minted businesswomen, trying to choose the easier path, dive headlong into the rental business, unaware of the possibility of crashing into the first pitfall. It turns out there are a lot fewer pink unicorns in this business than you think!

Don't trust first impressions!

11 problems facing rental companies

Since the business is young, there are still few specialists with practical experience. Often the truth drowns in forums where people who are far from the rental industry write advice that is far from reality. At the time of writing, Next2U cooperates with 73 rental companies, so we received information about how things are in practice from those who already rent out things for temporary use and have gained enough knowledge.

1. A quick contract. No one doubts its necessity, but often rental owners pull from the Internet the first typical document they come across, compiled on their knees during a lunch break. As a result, it practically does not protect you. If you run a business on your own and don’t cooperate with rental aggregators who take on the legal hassle, don’t skimp – invest a little time and money in the work of a lawyer. In a couple of hours, he will polish your contract to shine.

2. Small assortment. To build a business, you will need a fairly large selection of dresses. Otherwise, all your investments in advertising and attracting customers will not pay off - people will come, look and leave without finding the right size or suitable style. for a successful start you will need 200 dresses - 50% dark, 30% short, 15% with sleeves. Natalia’s vast experience can be trusted, but we also know rental companies that thrive with about 100 dresses. Their secret is beautiful photo shoots and a well-thought-out corporate style.

10 dresses are clearly not enough

3. Ill-conceived size range. Practice shows that sizes from 50 to 60 are in less demand and are more difficult to choose, because the fullness varies. One dress of size 54 may fit only 1 out of 4 clients (some have large breasts, others have hips or waist), but 42 is a very popular size when a small and slender girl wants to look great, but no money for a designer dress. Another interesting observation is that the most popular height is 165 - 170 cm. If your target audience is not models over 180 cm, this should also be taken into account when choosing dresses.

4. Men and children are a bad strategy. After the first success, many rental stores expand their line to include men's and children's items. Not the best idea - there is almost no demand, and prices in the children's segment are minimal. The only exception is family photo sessions in the “mother and beloved daughter” format.

5. Poor preparation. The owners of many rental companies have no idea how much it costs them to attract a client. They copy their neighbor’s strategy, use traditional advertising methods, sharply go into the red, and then roll their eyes. Count your money, consider whether your investments are paying off, use adequate advertising methods.

6. Marketing and advertising. Most likely, the context will quickly ruin you. Advertising in the media is also very expensive. Work towards partnerships with event organizers, modeling agencies, theater studios, photo agencies and aggregators of rental advertisements. Try to negotiate advertising posts in the feed of a popular blogger by offering rent by barter.

Mutual aid will help you out!

7. Security payment, which is more often called “collateral”. He must be. Even in partnerships, even with free rental promotions. This move creates discipline. If a person receives something for free, then he treats the thing accordingly. In addition, the deposit allows you to minimize the amount of lost profit if your client changes his mind.

8. Seasonality. When opening, be sure to consider the time of year. It’s better to do this in the spring – proms and weddings are just around the corner. In the fall, you can count on a Halloween party or preparations for the New Year. If you open in January, prepare for calm for a couple of months.

9. Brand mania. Your hangers don't always have to be full of super expensive and famous dresses. Today, girls primarily look at the quality of fabric, style and cost. In this light, it is beneficial to cooperate with aspiring fashion designers who are interested in advertising. Some of them may provide you with their items for free. They will be rented based on your rental, and you will divide the profit and dry cleaning costs in half.

10. Payment in cash. The inability to pay rent with a bank card or by bank transfer discourages not only large customers, but also ordinary clients. There is less and less cash in wallets - a fact!

11. Paid additional services. There are cases in our practice when rentals are offered low price, but for any additional services they require an additional payment. Those. either see it and take it, or pay for a fitting. In our opinion, this approach greatly confuses clients, but there are always those who are ready to sacrifice comfort for the sake of a few hundred benefits.

But these myths are very rare!

Tenants ruin things. Actually this is not true. On the contrary, the fear of putting a stain on a snow-white dress or staining the hem of a designer outfit makes your potential clients change their minds and pass by.

Salons that understand the fears of their target audience have learned to turn them to their advantage. They explain to the client that the fine, if any, will be minimal, that the seamstress or laundress will easily repair the damage, and therefore will not have to pay the full price.

But it also happens...

Items may not be returned. This is also an extremely rare practice. Usually, the very fact of drawing up a contract reliably protects you from losing a valuable dress. Excesses happen, but in the practice of our partners throughout Moscow there were only a few such cases.

To pass or not to pass?

By all indications, the rental business is a profitable business. In some cases, the cost of renting a dress for 3-5 days is 30-50% of the total cost of the outfit. But even with the usual 10%-15%, the return on business is guaranteed if you approach it headlong. Next2U partners only confirm our opinion and update profitable offers on the pages of our website with enviable regularity. The main thing you should know if you want to launch a business of this kind is that you cannot approach it carelessly. We hope our tips will help you at first, and you will share your success with us when you reach heights.

Investing in real estate still remains one of the best investments, as it allows you not only to protect money from inflation, but also to receive additional income from. The advantages of such investments are obvious, since real estate has high liquidity, and you can receive income from rentals for many years. In addition, there are many options for purchasing a home. Another thing is which option is better to use when purchasing housing for rent, and how it is more profitable to rent out an apartment. We will consider these questions today.

When is the best time to buy an apartment for rent?

It is possible to buy an apartment at any stage of construction, both at the excavation stage and finished apartments in which finishing work has already been completed. Of course, the most cheap option- first. But let's look at it from the point of view of making a profit. If you invest in real estate at the foundation pit stage, you will have to wait on average 2-3 years for finished housing. If you also took out a mortgage, then you will have to pay the money out of your own pocket, that is, for the first years you will only incur expenses, despite the fact that in Moscow for a one-room apartment you could make a profit of more than 1,000,000 rubles in 3 years.

Problems such as delayed construction, bankruptcy of a construction company, etc. may also arise, especially since situations with defrauded shareholders occur all the time. Therefore, the best option is to buy a ready-made apartment with finishing, since renovations will take several more months, and you will lose more than you save.

When purchasing an apartment, you should also take into account seasonality. Make a purchase better in summer when the market declines and prices become lower.

Nowadays it is almost impossible to find a person who has never thought about starting his own business. After all, working for yourself promises a high income if everything is organized correctly.

The main problem is that you can start any business only when you have a good idea in your mind and a competent plan for its implementation.

One of the most popular ideas is to organize your own car rental. Many people try to open a rental business, because it seems so simple: lend a car for a while and eventually get money for it. And indeed, this type of business activity is one of the most accessible, since most people who need a car prefer to rent a car to use it as a taxi, or are looking for leasing.

But, like any other type of entrepreneurship, it has its own characteristics. Before you decide to transfer your car to someone else, you need to take into account several very important nuances. Initially, it is necessary to correctly draw up an agreement and indicate the main terms of the transaction. This type of earnings carries certain risks and in the end you can lose a lot of money.

To prevent this from happening, you need a properly drawn up business plan, in which you will include all planned expenses and income, and also take into account possible errors. But how do you know exactly what expenses you will have to incur and what the profit will be? What do you need to remember so as not to create unnecessary problems for yourself? Let's try to figure this out.

Initial Investment

We previously wrote that many consider this type of business to be one of the most profitable. Initially, only a small initial investment is expected. This is partly true. But only partly.

There are several important “buts”. If a person is going to rent out a car that has been traded in for decades, he should be prepared for unpleasant consequences. When driving such a car, especially without technical training, a potential renter is practically guaranteed a breakdown on the road. This in turn may lead to demands for a refund and even compensation.

To avoid getting into such a situation, you will need to carry out a full diagnosis and necessary repairs of the machine, especially an old one. Identified faults in a domestic car can cost an average of 20,000 rubles. Correcting and bringing an old foreign car into proper technical condition can cost up to 50,000 rubles or more. The best option It will be if you, understanding the vehicle equipment you are renting out, can replace and repair everything necessary yourself. This will save you a lot of money.

You will also have to spend money on acquiring individual entrepreneur status or creating an organization. In theory, it is also possible to engage in illegal business activities, but it is better not to take risks. The legislation establishes great responsibility for this.

Annual investment

And, of course, you should not create illusions that to organize a business you will need to spend money only on one-time technical training. Rented cars will inevitably require maintenance at least every year. Or maybe more often. In this case - depending on your luck.

There are necessary costs, without which a rental car will quickly turn into a pile of useless metal. There is hardly a client who wants to pay his money for a vehicle that rattles and constantly breaks down.

Also, over time, it is worth thinking about expanding your business and saving the necessary amount to carry out major repairs and purchase another car. And then - again and again. Business should not “tread water”; it should strive for constant development and improvement.

Some funds will have to be spent on advertising. For example, advertisements in newspapers and magazines, creation and maintenance of a website on the Internet, and in the long term, advertising on a local TV channel, otherwise clients will not be able to find out about the existing service.

In addition, you will have to renew your car insurance every year by purchasing an unlimited MTPL policy. Without it, it will simply be impossible to move by car. In some cases, you will have to spend some money annually to organize convenient parking.

Monthly investment

When organizing a rental, you will also have to bear operating expenses. The need for them will definitely arise every month. A certain amount will be needed for both routine repairs and maintenance of your car. Don’t forget about such “little things” as changing oil and other technical fluids.

The appearance of the car should also be as presentable as possible. After each use, it must be completely washed, or better yet, the interior must be dry cleaned.

Someday, a successful tenant will save up for his own parking lot, but for some time the car will be forced to spend the night in “other people’s” parking lots. And of course you will have to pay for security.

If things “go uphill”, then it will be necessary to use the services of accounting organizations. With their help, you can correctly calculate all taxes and fees from income-generating activities.

To find potential tenants, you may have to spend money to access various databases.

Organizing document flow will require costs for various office supplies and consumables: printer ink, paper, staplers, stamps and much, much more.

Income

So, how much can the income from a well-organized car rental business be? This depends on several factors.

Class of the car being rented. For example, if you rent out a domestic car, its rental will cost no more than 1,000 rubles per day. A foreign car will cost the renter more: from 1,200–1,500 rubles for a Hyandai Solaris class car and up to 2,000 on average for a foreign car like FordFocus.
Number of cars for rent. Several middle-class cars will allow you to earn at least 30–90 thousand rubles per month, and maybe more. Over the course of a year, income from renting several cars can reach up to 1–2 million rubles. The income for renting one car will be much more modest - approximately 300–400 thousand rubles per year.
The type of area in which the landlord operates. IN small town there will be no strong demand. In this case, maintaining a large vehicle fleet is completely unprofitable. 1-2 cars for rent will bring about 200-300 thousand rubles of income per year. And, on the contrary, in the center of the metropolis it will be necessary to try to increase the number of vehicles. High demand can provide you with a profit of up to 2 million rubles per year.
Rental specifics. A rental car can be equipped with additional elements of decoration and luxury for special occasions such as weddings and anniversaries. Or cars are available for rent for traveling and conquering off-road terrain. Their price may be even higher than executive models. In this connection, the income will be much greater.

Profit

Income level is a significant indicator. The only thing more important than that is profit. What is the difference between these two concepts? Income represents all the financial resources that a company or citizen receives from business activities. And profit is the amount that remains if taxes, fees, expenses and other costs arising in the work are subtracted from income.

What do you need to subtract from your income to see your profit? First of all, this is VAT - 18% and personal income tax, which is 13%. A legal entity will pay tax on its income in the amount of 20%.

In addition to taxes, you need to take into account the costs of servicing and maintaining cars, paying for parking, buying insurance, etc. Only if you subtract all this, you can find out how much profit the lessor will ultimately receive.

Many aspiring entrepreneurs feel intimidated by having to incur so many expenses. As a result, they abandon the idea of their business. This is extremely wrong, because there are many ways to save money and ultimately get a decent profit. For example, you can switch to a simplified taxation system, according to which you can pay only 6% of profits and not worry about anything else.

Also, in this case, there is no need to purchase a cash register and special equipment.

As a last resort, you can save on parking and simply park your cars near your home or office. It is not so safe and somewhat risky, but such a risk is often well worth it.

Common mistakes when renting a car

So, according to statistics, the following mistakes are most often made when organizing a car rental.

Purchasing a new or used car for rent at an unreasonably high price. There is absolutely no point in buying a new car. It will simply take a very long time to pay for itself. It will be ridden by many different people who are deeply indifferent to its condition. They obviously won’t spare the car. Therefore, there is absolutely no point in overpaying. Instead, it is better to buy several used cars without additional options.
The appearance and aesthetics of a used car do not matter. Don't waste time trying to choose a car without a single scratch and with a perfect interior. The main thing is that the body is not rusty, especially the sills and bottom, and the engine and main systems must work smoothly. Thus, the main priority becomes the optimal price-quality ratio. The less a car costs, the better for business.
Search for tenants. It must be remembered that the main goal is to make a profit. The identity of the tenant should be of little interest to you, the main thing is that he pays the money on time and provides a passport with a mark of registration of his place of residence.

There is a room. What business to open? Most businesses, regardless of their size, require specific premises to provide their services or produce their products. Any premises in good condition are suitable for running a business - be it a garage, hangar, basement, country house, apartment or something else. This article takes a closer look at running an apartment and basement rental business.

In order to start your own business, you will need to purchase an apartment or a basement, which will already become a fairly large investment. Do not forget that purchasing real estate is one of the best views investment instruments and that is why the cost of ready-made apartments is quite high. The best options for purchasing would be real estate at the initial stage of construction. At this point, the real estate will save from 20 to 40% of the cost in the future.

Purchase and registration of real estate

Of course, the most popular option for opening an office remains business centers, whose infrastructure is entirely aimed at optimizing the work process. However, the cost of premises in such centers is quite high and many medium and small businesses cannot afford such acquisitions.

The second most popular option is renting premises on the ground floors of residential buildings and the so-called street-retail (premises on the ground floors with a separate entrance and their own shop windows). Former utility premises are also in high demand. Very often you can find various businesses in the basement. Often these are grocery stores, cafes and restaurants, beauty salons and small household appliance stores.

When considering the option of opening a business for renting premises, you should familiarize yourself with the demand and supply of the real estate rental and sales market, the infrastructure of the area in which the planned purchase is located and the “traffic rate” (approx. the coefficient shows a value based on the number of people visiting the adjacent territory over a certain period of time).

Buying real estate involves manipulation large sums money and such transactions are often targeted by scammers.

You must buy real estate either from a trusted person (relatives, friends or colleagues), or from agencies (the least profitable option), or with the participation of a realtor (in this case, you will have to pay for his services in the amount of a certain percentage of the purchase amount). To protect yourself when purchasing, you should carefully read all documents and become thoroughly familiar with the seller himself. Safety in such a business should come first. After purchasing real estate, you should register it so that you can rent it out on a commercial basis.

The final stage of preparation will be the renovation of the premises. Rich filling is not required, since many companies redesign the premises to their liking. It should be taken into account that the transformation of an ordinary apartment on the ground floor into a street-retail class premises will require documentary evidence, since the installation of a street door or large display windows will affect the integrity of the building.

Renting out premises

Almost any room in the street-retail category is suitable for the central part of the city. Such premises are gladly rented by various shops or restaurants. In residential areas, apartments on the first floors do not have an established list of tenant companies, which is why the demand here, although lower than the central areas, remains at a decent level.

From time immemorial, advertising has been the engine of business. To find clients for your real estate, one of the best ways is active advertising. Placing advertisements on Internet resources or in newspapers, placing an advertising sign on the building in which the premises are located, or submitting information about your services to target agencies (although in this case there is a chance that you will have to share a percentage of the income).

The amount of rental income depends on the premises and its location. For example, from a small two-room apartment in the center of Moscow you can get from 100,000 rubles per month. According to statistics, most rental apartments pay for themselves in about eight years. When buying an apartment on credit, monthly payments will be almost the same amount as income, which will allow you to own an apartment with virtually no costs.

Daily rental

Daily rental of apartments as a business arose not so long ago. The main difference from regular rentals is a more frequent change of clients, which will ultimately require greater advertising activity. Initially, daily renting was not considered as a type of business and was exclusively a way to earn money periodically.

Nowadays, renting out your own housing stock is one of the most simple way receive funds commercially without much effort. Long-term rent provides constant income, but in this case the level of profitability is lost. Daily rental will give a good daily profit, but there are a lot of worries with the constant search for clients and more time spent on arranging short-term rentals.

The second most popular way to make a profit from a business based on renting premises is the targeted purchase of real estate for subsequent rental. The process of purchasing, registering and searching for clients is almost identical to the acquisition of premises for conducting commercial activities with other entrepreneurs and companies. However, in this case, you will need an apartment in a prosperous area, with good infrastructure and within walking distance from public transport. All this will have a positive effect on the amount of profit generated.

Rounding out the top three ways to create a rental business is the so-called subleasing. In essence, the entrepreneur will become an intermediary between two links - the landlord and the clients. This method is suitable for those who do not have enough funds to purchase real estate and do not have their own. The essence of the process is to register housing for long-term rent and subsequent re-letting on a daily basis. In this way it is possible to “beat off” rental payments in the first ten days. The income for the remaining twenty days will become the entrepreneur’s net profit.

Process organization

In addition to the availability of real estate, several aspects will need to be taken into account. Firstly, any commercial activity requires mandatory registration with the tax authorities Russian Federation. When registering an enterprise, two types of legal forms are suitable - individual entrepreneurship and limited liability company.

Secondly, documentary registration of real estate for the possibility of conducting commercial activities. If we are talking about sublease, then all agreements with the owner of the apartment should be notarized and all points should be taken into account - cost, terms, possibility of re-letting, etc. Any show cash It is better to do it in the presence of a notary.

Third - arrangement of living space (minor repairs, purchase of consumables, furniture, etc.) and start of an advertising campaign. Advertising should be maximized - active work with newspapers, Internet resources and third parties. Third parties can be understood as various legal entities and individuals through which information about services is distributed (for example: placement of business cards and booklets at train stations or transport agencies).

The business of renting apartments by the day is quite a difficult task in terms of time spent.

A large number of clients will require a lot of attention and caution. In order not to make mistakes and not miss payment deadlines, you should sign an agreement with each new client. The keys to the rental property are handed over after signing. Upon completion of the contract, the apartment should be inspected for damage or theft of property.

Any enterprise is created in order to bring profit to its owner. And a higher level of profitability will only be available if the entrepreneur is interested in its development and modernization. There are two ways to increase profits - updating the housing stock (purchase of modern household appliances, repairs, improving apartment infrastructure, etc.) and purchasing additional real estate. In the first method, an increase in amenities will cause an increase in rental costs, but the number of clients may decrease due to the high cost. The second method is guaranteed to increase profits, but will also add more work.

Developing a client base

The best client is a regular client. The apartment rental business confirms this rule like no other. The consistency of the client base will reduce the time spent on rent registration and downtime.

The first thing you need to pay attention to when selecting clients is the condition of the proposed premises. If the stated characteristics do not correspond to reality, the entrepreneur will most likely lose the client.

Under no circumstances should communication opportunities be lost. Daily rental Apartments as a business is quite dynamic and clients should be given the opportunity to contact them at almost any time. Timely provision of information and the ability to book premises in advance will play a positive role in the growth of business reputation.

If the business is not limited to one or a couple of apartments, it makes sense to sign up for a client program.

Various promotions, such as free transfer, 2+1 or discount periods will increase the number of customers and also increase the number of regular tenants.

Short-term rentals are popular among those who arrive in the city for short periods. From this we can conclude that the client may be new to the city. This is another plus for an entrepreneur. The release of your own products, which include a logo, contact information and price list, will be a good step in developing a customer base. All this can be combined with the necessary things in an unfamiliar city - printing information on city transport maps, calendars, etc.

If you have living space and it is simply idle, you should think about an apartment rental business. Choose the type of apartment rental and earn money!

♦ Capital investments: from 20,000 rubles. (if there is an apartment).
♦ Payback: 8-12% profitability per year (in general – from 10 years).

If you have your own living space or are considering the option of purchasing with a mortgage, it is worth considering apartment rental business.

This will allow you to recoup the purchase costs, as well as earn extra money.

There are two rental options – short-term (daily) and long-term.

Each of them has its own advantages and pitfalls.

It is impossible to say clearly which option is preferable.

You will have to make the choice yourself, after evaluating all the arguments.

Daily or long-term rent: what to choose?

The idea of a long-term rental housing business is as old as the world.

In addition, square meters can be rented out not only for residence, but also for offices.

Renting for short term is also just gaining momentum. First of all, due to high prices in hotels.

In some situations, living in seemingly cheap hostels still costs more than a rented apartment.

But at the same time, a person gets the opportunity to independently manage his space, his own schedule, and prepare his usual food in the kitchen. And, in general, you can feel at home.

Positive aspects of business

Negative aspects of business

How to start a business renting apartments?

If you have analyzed all the arguments and decided that renting apartments long-term or daily is your business option, you should check the housing for compliance with the requirements.

The cost of an apartment is influenced primarily by its location.
The closer to metro stations, the center, main transport hubs- the more you can ask for it.
The location on the ground floor is considered a disadvantage when renting out meters for living.
But for offices this is the main advantage.
The set that you need to equip an apartment for daily rent is extensive.
This includes towels, a basic set of dishes, a hairdryer, microwave, iron, and washing machine are welcome equipment.
If people stay for a long time, it is assumed that they will arrange comfort for themselves.
An apartment for short-term rental must be under your control at all times.
You are responsible for maintaining cleanliness, putting things in order before each check-in, regularly washing textiles, and replenishing consumables (bagged tea, sugar, garbage bags, toilet paper).
Renting for offices often assumes that you need the absolute minimum - walls, windows, a door and plumbing and sewerage.

Analysis of potential clients

Interesting fact:
Playing music for more than two hours a day is unacceptable to neighboring tenants and amounts to noise - these are the laws governing rental housing in Germany.

For long-term rentals, the range of potential business clients is quite wide. In general terms, it can be represented as solvent people 18-30 years old.

As for renting square meters for offices, the demographics here are also broad.

Actually, the gender and age of the renters in this case will not matter much. The main thing is their occupation – entrepreneurial activity.

But as for the daily rental business, we can distinguish four main categories:

What are the pitfalls of business apartments for daily rent?

As a rule, when signing a lease agreement, the tenants are asked to provide their passport information - they are asked to make a photocopy or simply photograph the pages (for short-term rentals).
But the law states that this is prohibited.
And if you accept another, less important document, the risk of being deceived or having damaged property increases even more.
To earn a good reputation and have a regular flow of clients, you constantly need to invest.
In cleaning, washing, improving living conditions and solving various problems.
This must be taken into account when deciding to rent out square meters.
It is difficult to control how decently the residents will behave.
A noisy party can result in problems with neighbors and additional costs for cleaning and even repairs.
In general, residents of old houses are usually quite critical of apartments in which new people constantly appear.
This is especially dangerous if you are renting out your home under less than legal circumstances.
If you decide not to use the services of an intermediary agency, the likelihood of your apartment being idle increases.
But even a realtor, to whom you will pay an average 20% commission, is not a guarantee of a regular influx of tenants.
Additionally, you will have to advertise, and this is another expense item.
The biggest pitfall is the risk of fraud.
Of course, it exists in any field.
But when renting out housing, it is especially high.
However, you should not focus on the worst situations.
It is enough to remain vigilant and careful.

If you are just going to buy an apartment to rent it out and make money from it,

for a successful and profitable purchase:

You need to know business from the inside.
If you have never rented an apartment, it will be difficult to understand how to effectively rent out yours.
You can rent a house for a day or two in your own city and play the role of a “mystery shopper.”
Assess what the average prices are and how landlords behave.
If you are planning to take out a mortgage on an apartment specifically to rent it out to tenants, it is better to abandon this idea now. The current conditions of economic instability can play a cruel joke on you.
In addition, the overpayment turns out to be too large.
There is no point in starting any business without apartment insurance.
This is especially true for short-term rental space.
If the loading of the apartment has become regular, it makes sense to delegate the washing to the laundry or.
This is an additional expense, but a big time saver.
Do not hesitate to ask questions to potential residents, talk to them, take a closer look.
It is difficult to understand from several conversations what kind of person is in front of you.
But it is often possible to weed out the most suspicious and inappropriate ones.
Set yourself up for the fact that calls at “indecent” times will become the norm for you.
And there is a chance that you will have to call the tenants more than once to solve some problem.
If you are not ready for this, place the responsibilities “on the shoulders” of the agency.

From all of the above, we can conclude that the specific business apartment rental– this is not a “golden” ticket.

In any case, you will have to constantly invest your efforts in its development. Then the earnings will be more or less solid.

Or delegate the solution of all issues to a real estate agency.

In this case, you will have to forget about high earnings, because you will have to pay a rather large commission.

But if there are square meters and for some reason you don’t need them, it makes more sense to rent them out for housing or offices, rather than just leaving them idle.

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